The benchmark CAC-40 index in Paris pushed to an unprecedented 11th consecutive record high yesterday, although the pace slowed. The index edged 9.43 higher to 5,141.51, well off its intra-day high of 5,170.
A spokesman for the Paris bourse said it was the first time the CAC had managed 11 record closes in a row since its inception in 1988. The rally was set in motion on October 28th when benign employment data from the US calmed fears over global interest rates. Sound corporate earnings and active merger speculation have also contributed to the run.
Technology stocks were again the focus of attention, led higher by Nasdaq. Network services provider Equant gained 60 cents to €90.20 and Cap Gemini €1.50 to €164.20. But after its sprint higher earlier in the week, profit-taking sent Alcatel €6.90 lower to €172.40.
Frankfurt pared early gains to close with the Xetra DAX index off 11.31 at 5,791.05. Mannesmann continued to push higher amid talk of an imminent takeover bid for the telecoms to engineering group. The shares rose to an all-time high, adding €6.60 at €185.30 for a gain over the week of 24 per cent. A late statement from Vodafone Airtouch that the British cellular group was "evaluating a range of options" heightened speculation. A Mannesmann target price of €270, increased from €175, at ABN-Amro also boosted sentiment.
Uncertainty at its British Rover plant unsettled BMW, sending the shares down €1.49 at €26.41. Porsche shed €143 at €2,547 after disappointing results. Adidas Salomon, the sportswear leader, fell €4.61 to €73.40.
Amsterdam ended 4.93 lower at 589.87 on the AEX index after a severe bout of profit-taking at Philips.
Trade in Zurich was, for the first time, cancelled for the day because of technical difficulties. The problem with the electronic dealing system had also paralysed activity on Europe's fourth largest exchange on Thursday afternoon. Some trade was transacted via telephone off the exchange but volume was negligible. The indicative SMI index, calculated by Bank Leu on the basis of off-exchange prices, closed 0.6 lower at 7,420.6. Brussels closed 2.1 per cent higher as the benchmark Bel-20 index was reshuffled to replace utilities group Tractebel with medical devices maker IBA, and to adjust the weighting of other constituents.
